Refund policy

[Zukat]

Is there a policy/law prohibiting to request cash refund for goods that were originally purchased via card transaction?

 

[Venomous]

Not really.

They can even eft you the refund.

There is a limitation from the banks' side where by most banks/stores only allow X time for refunds to go back on the machine - henche cash or eft refunds get done.

 

[joker08]

If its a credit card then yes, its just to avoid people from buying goods on credit and then returning them to get cash.
When you purchase goods on a credit card you enjoy the interest-free period, but if you withdraw cash you are charged interest from the day you withdraw that cash. This interest can be avoided if you just return the goods and the seller gives you back cash.

 

[Meelperd]

No law. It's all about the store's available cash on hand. So if you bought a milkshake, no prob, but if you bought a R100k TV, you'll have to settle for EFT.

 

[Praemon]

There are anti-money laundering laws in other countries about it, like in the UK and US. There may possibly be one in South Africa too. But I highly doubt any retailer would want to refund via cash when the original purchase was done with a card anyways. There's 2 reasons:

1) The card holder could dispute that the goods were returned but they never received the refund. If it's done in the same manner that the payment was done (ie. reversal on the card), it's easily tracked. If it's done via cash or another means it's going to be difficult to track and put the retailer in a difficult position.

2) The card may have been stolen and by requesting a cash refund they're effectively performing money laundering.

So retailers shouldn't give card refunds via cash, and you can't demand one.